Journal of Economics and Sustainable Development www.iiste.org ISSN 2222-1700 (Paper) ISSN 2222-2855 (Online) Vol.6, No.1, 2015 118 Socio-Economic and Institutional Impact on Decision Making through Self Helf Groups Subhadip Pal Department of Agricultural Economics, Faculty of Agriculture, Bidhan Chandra Krishi Viswavidyalaya, Mohanpur, Nadia, India Email: mrsubha19@rediffmail.com Abstract The investigation was conducted to know the decision making role of rural SHG and non-SHG farm women in some selected villages namely Koshigram, Nanagar, Khayerhat and Jagigram under Burdwan district. Data were collected through interview schedule for 200 rural women (100 SHGs and 100 non-SHG members) during March, 2014. Findings revealed that majority of respondents (59%) were young women in the age group between 20 to 35 years. The sample were collected predominantly on nuclear families type. Most women respondents (98.5%) were from Hindu Scheduled caste and tribe. Mostly literate women sampled in this study engaged in various activities such as agriculture farming and farm labour. Decision Making Index (DMI) was developed to measure each of the items regarding different aspects of role. In the case of SHGs, the DMI ranged from 85-170 and in the case of non-SHGs the DMI ranged from 35-110 against a possible range of 0-200. On the basis of DMI top aspects of decision making role were Employment status (170), Occupation of the women (160), Woman’s capability of taking decision (160), Education (150), Age of the women (150), Access to family income (145), Land holding (140), Participation in Social organisations (130) and Participation in SHG’s (120). Contrarily, in the case of non-SHG women social except family type (110), economic and institutional factors had no significant impact on the participation in decision making. The decision making power in relation social, economic and institutional factors was greatest among the women of SHG households than the women of non- SHG households. From this study, it is recommended here to take immediate steps for empowering the rural women by providing latest scientific knowledge and skill through effective and appropriate channel so that they can help, motivate and influence the male farmers in taking accurate decisions in farm activities. Moreover, women should be involved with SHGs to get loan to utilize in various income generating activities for earning more income. As a result, they could uplift themselves socioeconomically and decision making. Keywords: Participation, farm women, socio-economic and institutional factors,farm decision. 1. Introduction Women play a pivotal role in agricultural and rural economies in all developing countries (Tsegaye et al, 2012). Their roles vary considerably between and within regions and are changing rapidly in many parts of the world, where economic and social forces are transforming the agricultural sector. Rural women often manage complex households and pursue multiple livelihood strategies. Their activities typically include producing agricultural crops, tending animals, processing and preparing food, working for wages in agricultural or other rural enterprises, collecting fuel and water, engaging in trade and marketing, caring for family members and maintaining their homes (Ahmed & Hussain, 2004; Team & Doss, 2011; Arshad et al., 2010; Pal, 2013). Women have been playing a key role, not only in the improvement of family wellbeing, but also in the development of the economic, political, and ecological environments. Since women’s contribution in the development of the household, economic, political, and ecological environments is vital, there is a need of proportionate increase in her involvement in decision making process, because the success and progress of any production depends upon the plans made and decisions taken. In all societies, the issue of women’s participation and how they participate economically, socially and culturally is considered to be important. Although, women’s participation in the decision-making process has a significant impact on their improved status and greater role in society (Begum, 2002), their involvement in decision making process specially related to money matters is low (Raju & Rani, 1991). Gender equality in democratic governance is very uneven; in most of the world, women are under-represented in positions of power (Mumtaz & Aysha, 1982; Slovenia, 1998; Rahman, 2008). In rural families, type and size of the family, caste, size of land holding, socio-economic status of the families, education level of rural women, their employment status and rational position affect her involvement in decision-making. Illiteracy, poverty and unemployment are the major problems of many developing countries, to which India is no exception. The growing problem of poverty in our country has promoted the economic planners to come up with various programmes to curb poverty. Self-help group (SHG) formation is one of such efforts which enable the poor to participate in the process of development. Self-help groups (SHGs) are voluntary associations of people formed to attain certain collective goals that could be economic, social or both (Elliott, 1987; Fetterman, 1996; Rappaport, 1995; Stein, 1997; Dwarakanath, 2002; Ganesh Murthy et al., 2002). The origin of SHGs is from the Grameen Bank of